Olli Isotalo, EVP Marine

Cargotec Capital Markets Day 2011, Helsinki

Marine – Ship type and size make a difference

Content • Marine market outlook

• Ship types

• Key issues in financials

• Growth

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Market Outlook Challenges: • Overcapacity in shipping

continues • Change in ownership geography • Squeezed ship prices • Short-term contracting levels

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Market outlook Benefits:

• Long-term growth

• Korea is gaining market share – Marine well positioned

• Increasing owners market – beneficial to solution sales

• ECO ships coming – we are the market leader in electrical products

• Growth in offshore support/construction vessel types

• RoRo/car carrier outlook more positive than Clarkson expects?

• Cancellations on low level

• Market share gains in the last years

• Ships are bigger

• Growth in ship types having large MacGregor content

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Ship type and size make a difference Bulk carrier, cape 180,000 dwt

Vessel particulars • Length 300 m • Breadth 45 m • Average price 50 MUSD

MacGregor equipment • Hatch covers • 18 rolling panels à 35 tons each • Max. value 1.7 MUSD

= 3.5% of ship’s value

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Ship type and size make a difference Bulk carrier, handymax 51,000 dwt Vessel particulars • Length 188 m • Breadth 31 m • Average price 26 MUSD

MacGregor equipment • Cargo cranes (4 x 30t),

folding hatch covers • Max. value 2.2 MUSD

= 9% of ship’s value

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Ship type and size make a difference Container carrier, post-panamax 13,000 TEU Vessel particulars • Length 370 m • Breadth 50 m • Average price 130 MUSD

MacGregor equipment • Hatch covers, lashing bridges,

fixed container fittings and container lashing systems

• 80 panels / 2,700 tons / 10,800 m2 • Max. value 10 MUSD = 8% of ship’s value

TEU = 20’ equivalent unit (length of a standard container)

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Ship type and size makes a difference Container carrier, feeder 1,350 TEU Vessel particulars • Length 160 m • Breadth 25 m • Average price 23 MUSD

MacGregor equipment • Cargo cranes (2 x 45t),

hatch covers, (lashing bridges), fixed container fittings and lashing systems

• Max. value 2.3 MUSD = 10% of ship’s value

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Ship type and size makes a difference

17 Nov 2011

RoRo vessel, PCTC 8,000 unit Vessel particulars • Length 225 m • Breadth 32 m • Carrying capacity 8,000 CEU

(CEU = car equivalent units) • Average price 100 MUSD

MacGregor equipment • Hoistable access ramps, car decks,

ramp covers and doors • Hoistable car decks abt. 20,000 m2 • Max. value design and complete

fabrication, abt. 3,000 tonnes: 15 MUSD = 15% of the ship’s value

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Ship type and size makes a difference

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Offshore compact semi submersible vessel Vessel particulars • Length 85 m • Breadth 32 m • Average price 110 MUSD

MacGregor equipment • 150t AHC crane,

el-hydr offshore service crane, module handling system, ROV handling system, winch systems, moonpool system and integrated deck skid systems

• Max. value 25 MUSD = 23% of ship’s value

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Key issues in financials

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Close to half of Marine order book on 30 Sep 2011 was bulk ship related

Bulk ships General cargo ships Container ships Roro ships Offshore support vessels Other

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Q1/08 Q2/08 Q3/08 Q4/08 Q1/09 Q2/09 Q3/09 Q4/09 Q1/10 Q2/10 Q3/10 Q4/10 Q1/11 Q2/11 Q3/11

Orders Sales EBIT%

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MEUR %

EBIT% excluding restructuring costs

Key issues in financials

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17 Nov 2011

Manufacturing Installation After Sales Service

Outsourced MacGregor

Sales & Marketing

MacGregor

Design & Engineering

MacGregor

Outsourced

MacGregor

Outsourced

Concept focused on design, engineering and service

Reasonable margins Focus on core competencies

Cash positive Low fixed cost

High flexibility

Marine’s business model – built-in flexibility

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Outsourced

Growth

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Service

Two dimensional growth

Bulk carrier

Naval ship

RoRo ship

Tanker

Transloader

Offshore cranes

Hatch covers

Cranes

RoRo equipment

Customers

Container ship

General cargo ship

Products

Winches

OFS Subsea

OFS AHTS

OFS TUG

Mer

chan

t shi

ps

Offs

hore

sh

ips

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New ship types

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Focus areas • Two dimensional growth

• Strengthen solution sales

• Grow in offshore services

• Geographical focus in China and Brazil

• Leverage the Rainbow-Cargotec Industries in offshore

• Strong and focused R&D

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